2011 Tax Relief
During the 2011 budget debate, Assembly Republicans stood together to reject the $58 billion tax increase proposed by Governor Brown and majority Democrats.
As a result of the defeat of the Democrat tax increase proposal, the average family of four saw their annual tax burden drop by $1,040 on July 1, 2011 as a result of the expiration of the 2009 tax increases.
Here's how this tax relief has benefited you and your family:
Lower State Sales Taxes - State sales taxes were lowered by one cent, which the Board of Equalization estimates will be a $233 savings for the average California family.
Lower Car Taxes - The car tax (vehicle license fee) was dropped nearly in half, from 1.15 percent of the vehicle's value to 0.65 percent. Based on the purchase of a $20,000 new car in Sacramento County, car buyers would see $200 in sales tax savings and $100 in lower car taxes.
Lower Income Taxes - On January 1, 2011, each state income tax rate was lowered by 0.25 percent. It is estimated that joint filers making $50,000 per year in taxable income will save $125.
Restored Child and Dependent Care Credit - The Child and Dependent Care Expenses tax credit was also restored to the pre-2009 level of $309 per dependent, with eligibility based on income levels, which is an increase of $210 in tax savings per dependent.
Keeping taxes low is essential to efforts to bring back employers and get Californians working again.